Key Highlights
- ICE, OKX, and Securitize warn that synthetic tokenized stocks can mislead investors and create market risks.
- Some tokenized stocks in offshore markets are not backed by real shares, with multiple fake versions trading at different prices.
- ICE is planning to launch a regulated platform for tokenized U.S. stocks and ETFs soon.
Executives from Intercontinental Exchange (ICE), OKX, and Securitize have raised concerns about “synthetic tokenized stocks,” warning that they may create risks for both investors and financial markets as the space grows in 2026.
During a panel at the Consensus Miami event, leaders from traditional finance and crypto platforms discussed how tokenized stocks are being built and traded, and why some versions may not be safe or real.
ICE to roll out regulated tokenized stock system
Michael Blaugrund of ICE, which owns the New York Stock Exchange (NYSE), said the exchange is working on a regulated system for tokenized U.S. stocks.
He explained that the initial model will use a pre-funded structure, allowing tokenized stocks to be traded using stablecoins. The approach is designed to be simple at launch, offering a controlled environment for companies, investors, and regulators to understand how the system functions before introducing more advanced features such as borrowing or full user custody.
Blaugrund highlighted that this change is already happening and said, “It’s now ‘when,’ not ‘if,’” meaning tokenized stocks are coming for sure.
Risk of fake tokenized stocks
Meanwhile, Securitize CEO Carlos Domingo warned that some tokenized stock products offered outside major regulated markets may not represent real ownership. He noted that certain tokens use the names of well-known companies without approval and do not provide rights to the underlying shares.
He added that in some cases, the same stock can have several different token versions in the market at the same time. He said, “For some stocks there’s like five different tokenized versions,” but none of them actually represent real equity in the company, including cases linked to Coinbase.
Domingo also pointed out that the problems become worse during corporate events like stock splits, where, in one case, different token versions of the same stock were trading at very different prices, even up to five times apart.
OKX’s stance on asset backing
OKX global managing partner Haider Rafique also added to the discussion. He said OKX has avoided launching synthetic tokenized stocks for now. He said the exchange does not want to sell something that only looks like a promise. Instead, the goal is to trade real assets that are properly backed.
“We’re not selling a promissory note. We’re actually selling the underlying asset,” he said during the panel, stressing the need for real backing behind any listed tokenized stock.
Regulatory concerns and next steps
The concerns are also linked to regulatory arbitrage. This happens when companies set up tokenized stock products in countries with loose rules.
Domingo said that even if they say they are not targeting places like the U.S. or Europe, the tokens can still end up there because blockchain systems are open and global. This makes it hard for regulators to fully control where these products go or how they are used.
The U.S. Securities and Exchange Commission (SEC) has increased attention on this area, saying that real tokenized stocks must have approval from the company that issued the shares. Without that approval, the product may not be considered real ownership.
ICE is now building a regulated platform that will allow 24/7 trading of tokenized U.S. stocks and ETFs. The system will also support instant settlement, fractional trading, and payments in dollars, but it still needs regulatory approval.
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